Goldman & BNY: Crypto’s New Best Friends? 💸✨

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Ah, the grand union of old-world finance and digital sorcery! 🧙‍♂️💰 Behold, the alchemists of Wall Street, transmuting money market funds into digital tokens! 🪄💎 A collaboration so profound, it’s as if the gods of capitalism themselves have conspired to make your savings more… *efficient*.

The collaboration, a tale of two titans, sees BNY Mellon wielding Goldman Sachs’ GS DAP®—a private blockchain so exclusive, it’s like a secret society for the wealthy. 🤫✨ Mirrored tokenization, a concept so revolutionary, it’s been dubbed “the first step in the transition”… as if the future hadn’t already been written in code. 📜💻

The rollout includes the usual suspects: BlackRock, BNY Mellon’s Dreyfus, Federated Hermes, Fidelity, and Goldman Sachs Asset Management. A veritable league of financial wizards, all united in their quest to make money market funds as accessible as a magician’s trick. 🎩🐇

Investors, rejoice! Now you can subscribe and redeem MMF shares with the ease of a spell. 📈✨ BNY’s Liquidity management platform, now integrated with digital assets, is the new “magic portal” for institutional cash investors. 🧙‍♀️💰

These mirror tokens, though not replacing official records, are the faithful sidekicks of the official records. A duo as inseparable as love and money! 🤝💸 They’re not just for show—they’re here to boost accessibility, interoperability, and the occasional “oh no, what have I done?” moment. 😅

Blockchain Integration to Expand MMF Utility

Blockchain, the new savior of fund management! Though the assets remain in the hands of traditional custodians, the blockchain adds a layer of “interoperability”—a fancy term for “can talk to other systems.” 🤖🤝 Goldman Sachs’ GS DAP® is built on smart contracts from Digital Asset, a startup so innovative, it’s like giving a robot a degree in finance. 🤖🎓

BNY Mellon’s LiquidityDirectSM platform, a portal so grand, it’s like the Hogwarts of cash investors. 🧙‍♀️💰 The integration of the private blockchain opens the door to collateral optimization and intraday liquidity management—terms so complex, they sound like ancient incantations. 🔮

Laide Majiyagbe, BNY’s Global Head of Liquidity, declares this “a first step in the transition.” A first step? More like a sprint toward the future, where financial systems are as fluid as a magician’s wand. 🪄

GS DAP® was previously piloted for bond issuance in Asia and Europe. Now, it’s taming the wild frontier of MMFs in the U.S. A true pioneer! 🐎🧭 The $7 trillion market, valued by ICI data, is now dancing with blockchain. 💃🕺

A Step Toward Collateral Utility and Global Scalability

Mathew McDermott, Goldman Sachs’ Global Head of Digital Assets, speaks of collateral utility as if these tokens are the keys to a treasure chest of seamless transfers. 🔑💰 “Unlock their utility,” he says, as if the world needed more ways to move money faster. 🚀

BNY Mellon will continue to serve as the official recordkeeper, maintaining compliance like a vigilant dragon. 🔥📜 But the addition of tokenized mirrors creates new flexibility—because who doesn’t want to modernize their collateral management with a sprinkle of crypto magic? 🧙‍♂️✨

Though this initiative currently focuses on US MMFs, both institutions signal interest in expanding globally. A world where every fund is tokenized, and every asset is a spell! 🌍✨

Featured image created with DALL-E, Chart from TradingView 📊🎨

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2025-07-24 08:15